Farm Debt Mediation Act (S.C. 1997, c. 21)

Act current to 2015-06-09 and last amended on 2015-02-27. Previous Versions

Marginal note:Administrator’s duties on receiving application
  •  (1) On receipt of a duly completed application under section 5, the administrator shall forthwith

    • (a) give notice of the application to

      • (i) each creditor listed in the application, in the case of an application made under paragraph 5(1)(a),

      • (ii) each secured creditor listed in the application, in the case of an application made under paragraph 5(1)(b), and

      • (iii) the Minister, if the Minister is the guarantor of a farmer’s debt that is owed to a creditor or secured creditor listed in the application;

    • (b) in the case of an application made under paragraph 5(1)(a), issue a stay of proceedings for a period of 30 days, beginning at the time when the stay is issued, against the farmer by all of the farmer’s creditors and give notice of the stay to each creditor listed in the application; and

    • (c) determine whether the farmer is eligible under this Act to make that application, which determination may be based on, among other things, a preliminary review of the farmer’s financial affairs.

  • Marginal note:Certain decisions final

    (2) In the case of an application under paragraph 5(1)(b), a determination by the administrator under paragraph (1)(c) is final and is not subject to appeal.

  • 1997, c. 21, s. 7;
  • 2015, c. 2, s. 142.
Marginal note:Amendment of application
  •  (1) A farmer who has made an application under paragraph 5(1)(a) or (b) may, at any time before the termination of the mediation, request permission from the administrator to amend the application to be an application under paragraph 5(1)(b) or (a), as the case may be, and the administrator may grant that permission if satisfied that the farmer is eligible to apply under paragraph 5(1)(b) or (a), as the case may be.

  • Marginal note:Two year period

    (2) For the purposes of section 20, an application that has been amended pursuant to subsection (1) is deemed to have been made as an application under paragraph 5(1)(b) or (a), as the case may be, on the day when the original application was made.

FINANCIAL REVIEW

Marginal note:Financial review
  •  (1) Where the administrator determines that the farmer is eligible to make the application, the administrator shall as soon as possible undertake, or cause an expert referred to in subsection 4(4) to undertake, a detailed review of the farmer’s financial affairs.

  • Marginal note:Nature of review

    (2) The review mentioned in subsection (1)

    • (a) must include the preparation of

      • (i) an inventory of all the assets of the farmer, and

      • (ii) financial statements of the farmer’s farming operation;

    • (b) may, in the case of an application made under paragraph 5(1)(b), include a recommendation that one or more creditors who are not secured creditors, and the Minister, if the Minister is the guarantor of a farmer’s debt that is owed to one of those creditors, participate in the mediation; and

    • (c) may include the preparation of recovery plans for the purpose of reaching financial arrangements with creditors and the Minister.

  • Marginal note:Preparation of recovery plans

    (3) Where a farmer requests the administrator that the recovery plans referred to in paragraph (2)(c) be prepared by a person of the farmer’s choice, the administrator may, in accordance with the regulations, if any, enter into an agreement for that purpose.

  • Marginal note:Report

    (4) The results of a review under this section must take the form of a report prepared by or on behalf of the administrator.

  • 1997, c. 21, s. 9;
  • 2015, c. 2, s. 143.